Owning and operating an auto repair business comes with its fair share of hurdles, but where there is a challenge, there is an opportunity. That’s precisely the reason why there are small business owners who are committed to investing their money, time and energy into auto repair businesses.
The huge automotive repair service industry consists of businesses that offer service, repair and maintenance of cars, trucks, vans and other motor vehicles. Major automotive repair and maintenance services are mechanical repair (50% of industry revenue), automotive collision repair (30%) with car washes and oil/lube businesses each receiving about 10%.
Automotive businesses – like auto repair shops – can come with steep upfront costs. To keep business humming along, you need to buy expensive equipment like shop lifts and air compressors, plus all the other overhead costs that come with running your own business.
At the same time, your cash flow can be uneven – maybe you’re in your slow season, or maybe you’re waiting to get an invoice paid by a customer or insurance agency. Maintaining a healthy cash flow is the single most important aspect of managing any business, and most businesses fail within a few years as a direct result of cash flow problems.
Financing for your automotive or mechanic shop can help. A line of credit or short-term loan can help you manage your cash flow or allow you to invest in new equipment.
Running an auto repair shop requires grit and dedication. But even with the right attitude, the costs of owning and operating an auto repair business can be challenging even to the most experienced business owners. In addition, the expenses involved in running an auto repair shop vary widely. That’s why it’s important to have financing available at the exact moment they need it as soon as possible.
Auto Repair Business Loans provide a financial solution to expense-related obstacles that keep auto repair businesses from operating at full capacity in one way or another. Let’s have a look at top 3 costs of running an auto repair shop:
Auto repair shop equipment like engine hoists, vehicle lifts and air compressors are expensive. The current economic condition isn’t helping out either. Aside from these problems, vehicles are getting a lot of new technology which means that auto repair shops need to adapt to new technology as well in order to keep up and repair them properly.
Regardless of the type of equipment you need to buy, Capify can help finance these expenses
Insurance premiums for auto shop repairs aren’t cheap. But not purchasing insurance can even be more expensive. Auto repair shop loans from Capify can help cover the cost of your insurance so that your business continues to enjoy protection from shop related injuries and liabilities.
The current pandemic has wreaked havoc on Australian auto repair services especially during the lockdown since less people had to their vehicles. Aside from this, auto repair shops need to be located in large areas not only to facilitate repairs but also to let clients park which translates to bigger and more expensive rent.
Low traffic and large overhead can be a problem for many auto repair shops but Capify can help fund your cash flow so that you can pay your rent as well as your bills.
Whatever way, shape, or form the cost comes in, auto repair shop loans can help you survive or grow in a highly competitive industry.
There are lots of ways to use loans for the improvement of auto repair shops – here we list the top three.
The everyday operation of your auto repair shop can be taxing on your bank account. Expenses like utilities, rent, salaries and wages, purchasing more stock or new equipment or training of new staff can drain your funds.
Having money to cover the business basics can make your business more flexible and run more smoothly.
Competition is stiff in the auto repair world. Garages can open right next to each other. This is why marketing and advertising is important. You need to stand out from the competition to get noticed by potential clients. However, marketing and advertising is an additional cost to your business. Aside from this, there are multiple advertising channels which can drive your cost upwards.
You need a medium to tell customers why you’re better than the competition and this is where your auto repair loan from Capify can come in handy. Marketing and advertising dollars can attract more customers which in turn boosts sales.
Scaling your business can add more revenue. But this should only be done after careful consideration and planning.
Capify auto loans can help you grow your business by hiring more technicians, purchasing new equipment or expanding your current shop to make it bigger and better.
Capify offers businesses a fast and simple way to apply for business financing. Applying for small business loans for auto repair shops through banks is a complicated process that takes lots of time and paperwork. More importantly, the odds of finance approval from traditional lenders are slim for many small business owner.
If you don’t want to waste any more time or resources jumping through bureaucratic hoops, here at Capify we can provide you with an auto repair business loan to ensure you reach your financial goals faster.
Call or apply online in minutes for a quick, obligation free quote.
We can get you funds you need with loan terns that suits your business.
Fast, same day approvals and funds in your account within 24 hours*.
We know running a business is hard. Remaining stable as a small business and capitalising on growth opportunities can be difficult in such a competitive environment, especially when you’re short on funding.
Capify can help you get the funding you need quickly, without any hassles. We take time out to understand your business needs and offer you a tailored solution to help you achieve business growth, provide greater cash flow, and invest in your business for the future.
We don’t use interest rates for our funding solutions.
Instead Capify offers an agreed total payback amount. The payback amount depends on the type of business you operate and the term you require the business finance for. This way your business knows up front the total costs, making managing your cash flow easy.
Speak to a lending specialist today on 1300 760 930 to get funds in 24 hours or start your application and apply now.Get Started